The Business and Trade Committee has warned that the Post Office is “not fit” to run any compensation schemes for the victims of the Horizon scandal and should be removed.
In a report, the committee said it is a “disgrace” that so little has been paid to ex-postmasters.
The report shows that just £1 in £5 of a budget set aside for compensation has been issued.
Liam Byrne, Chair of the committee, said: “It’s high time for the circus of recent weeks to end and for cheques to start landing on the doormats of innocent victims.”
The report also said that the Post Office’s leadership is in “disarray”.
In response, a spokesperson said the Post Office “welcomes” the direction of the report and will “study its recommendations carefully”.
The spokesperson added: “Post Office would have no objection to relinquishing our role in administering redress. Whatever is decided, we will continue to work with government, Parliament and the independent advisory board to do everything possible to speed up justice and redress for victims of this terrible scandal.”
